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Caustic soda prices hit the roof, cause burns |
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Written by Administrator
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Tuesday, 17 May 2005 |
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Prices more than double in four months; have domino effect on cycle, dyeing and soap industries
The prices of caustic soda, a chemical widely used in cycle, electroplating, dyeing, soap and other industries, have more than doubled from Rs 700 per 50 kg about four months ago to Rs 1,500 per 50 kg.
Shockingly, the prices had spiralled up to Rs 1,700 per 50 kg a few days ago.
Industrialists are surprised over spurt in the prices without any rehash any in the duty structure in the union budget.
Industrialists allege manufacturers, which are few in number, of manoeuvring prices by creating an artificial shortage. They also allege government officials concerned of being hand in glove with the manufacturers.
Avtar Singh, general secretary of Chamber of Industrial and Commercial Undertakings (CICU), said, ‘‘Caustic sada is used in tonnes in each cycle unit for cleaning purposes. The spike in the prices have really skewed our budgets. I am going to write about it to the ministry concerned to look into the matter. Some major players are minting money while we have to buy the product at higher prices as it is our daily need.’’
Lalit Jain, president of Ludhiana Dyeing Industry, was also equally concerned. He said, ‘‘Right now, it is an off season for dyeing industry but from the next month, our work will be in full swing and we will have to shell out on caustic soda which is an important raw material used in dyeing of cloth, yarn, etc.’’
Pawan Sood, general secretary of Ludhiana Electroplaters Association too resented the skyrocketing prices of caustic soda, an important chemical used by electroplating units. He demanded governmental action against companies responsible for the sudden hike in the prices.
He added, ‘‘It is confusing that the prices hit the roof post-budget even though no additional tax was levied on caustic soda.’’
The soap industry has foam at the mouth as it is still reeling under the double whammy of price hike in caustic soda and VAT blow - it is now taxed under the 12.5 per cent slab. |
